IKEA Plans to Invest Rs. 3000 Crore in India

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IKEA, Swedish furniture and home accessory company plans to invest nearly 3000 crore in next three years to open three fulfillment centers in Mumbai, Bengaluru and Delhi. They opened one of the three stores in Bengaluru and is expected to have 7 million visitors every year.

The company would open the centers as omni-channelling brand. Omni-channel is a multi-channel approach to sales that seeks to provide customers with a seamless shopping experience whether they are shopping online on desktop or mobile, by telephone or at stores. There will be large IKEA stores, city center stores and online presence, said Pratik Antony, Deputy Country Manager of IKEA India.

The Bengaluru store is expected to offer over 7500 products for better and brighter everyday life at homes. Besides offering a wide range of home furnishing solutions, the Bengaluru store will also house a restaurant serving Swedish and Indian delicacies. There will also be a supervised children play area.

Talking at the groundbreaking ceremony, Peter Betzel, CEO, IKEA India, said, “Bengaluru is a very special city for us as we have active participation from our total value chain – IKEA Foundation, IKEA suppliers, IKEA social entrepreneurs and now IKEA retail. With the IKEA store, we will contribute to a better everyday life for all Bengalureans with well designed, functional home-furnishing solution.”

The Bengaluru store only will employ 800-1000 direct co-workers and another 1500 indirectly providing services such as assembly, delivery etc. IKEA stores will have solar panels, LED lights, rain water harvesting, water treatment plants and modern waste management systems. IKEA will use EV for deliveries and even co-worker transportation in the future,” the event organisers said.

Later this year, IKEA plans to open store in Mumbai. After Mumbai, there would be one in Delhi. By 2025, there would be over 25 stores across cities such as Ahmedabad, Surat, Pune, Chennai and Kolkata with both online and offline approaches, Pratik Antony said.